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Cambodia garment sector rebounds with 301 new factories, 15% export rise

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PHNOM PENH, Feb 26, 2026 (KPT) – Cambodia’s garment industry bounced back strongly in 2025, with 301 new factories opening during the year, bringing the total to 1,867 nationwide, officials said Thursday.

The labour ministry said employment in the sector climbed to more than 1.13 million workers, underscoring its role as one of the country’s largest formal employers.

Exports of garments, footwear and travel goods reached $15.5 billion, up 15.7 percent from 2024, according to commerce ministry data.

The sector accounted for about half of Cambodia’s total exports, which topped $31 billion last year.

Industry representatives credited the growth to a stable investment climate and Cambodia’s regional competitiveness, which continued to attract investors despite global uncertainty.

Officials said reforms to simplify investment procedures and improve the business environment under the government’s seventh mandate had spurred capital inflows and factory expansion.

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